Assume the Following Cost Behavior Data for Graphic Arts Company

question 66

Multiple Choice

Assume the following cost behavior data for Graphic Arts Company: Sales price $18.00 per unit
Variable costs $13.50 per unit
Fixed costs $22,500
Tax rate 40%
What volume of sales dollars is required to earn a before-tax income of $27,000?

• A) $90,000
• B) $180,000
• C) $198,000
• D) $270,000

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Definitions:

Communicating

The process of conveying information, ideas, or feelings between individuals or groups, employing various means such as verbal, nonverbal, or written methods.

Semantic Barriers

Obstacles to communication that occur due to differences in interpretation of words or phrases.

Nonverbal Barriers

Obstacles to effective communication caused by non-linguistic elements such as body language, gestures, and facial expressions that prevent clear understanding.

Responding Barriers

Challenges or obstacles that interfere with the effectiveness of communication responses, such as noise, distractions, or misunderstandings.